February 17, 2004
Millennium announces plans to expand natural gas supply in New York
Developers of the Millennium pipeline project have announced a two-stage plan that will supply more natural gas to peak demand areas of New York.
“The new plan will provide much-needed energy to New Yorkers,” said Johnny Evers, The Council's energy analyst. “New Yorkers are relying on natural gas more and more, and natural gas use in electricity generation continues to grow. It’s important that this plan succeed in order to meet the future energy needs of New York.”
Phase one will replace and upgrade 186 miles of an existing pipeline from Corning to Ramapo. The project, which is expected to be in service by November 1, 2006, will also link the National Fuel Gas Company’s Empire State pipeline with energy markets in eastern New York.
Phase one of the project will also use KeySpan as a new anchor shipper, increasing the supply of natural gas to KeySpan's customers.
The second phase will link the New York City metropolitan area with Millennium by building a pipeline under the Hudson River.
Millennium is awaiting a ruling from the U.S. Federal District Court before proceeding with the second phase of the plan, but said phase one will proceed as planned.
“Millennium Phase 1 will allow us to begin delivering much-needed new energy supplies to the region, even as we continue working to complete Millennium’s link to energy consumers in the New York City metropolitan market," said Glen L. Kettering, president of Columbia Gas Transmission Corp.
The Business Council is supporting the Millennium project, sponsored by Columbia Gas Transmission Corp.and others, as one step in resolving the growing threat of gaps between New York's energy needs and capacity.
Business Council President Daniel B. Walsh said that the Aug. 14-15 blackout, which is estimated to have done up to $1 billion in damage to New York's economy, "has demonstrated how vulnerable we are if we fail to upgrade our capacity to produce and distribute electricity."